tci Medicare Compliance & Reimbursement - 2010 Issue 1
NURSING HOME COMPLIANCE: Stave Off Kickback Allegations By Covering These 4 Compliance Bases
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Article Overview
This article covers common compliance risk areas for nursing homes that do business with pharmacy consultants and other ancillary providers. It discusses federal anti-kickback concerns, OIG compliance guidance, fair market value considerations, and the types of contractual and referral relationships that can attract scrutiny. The piece is aimed at facility administrators, compliance staff, and others who manage vendor and referral relationships in long-term care settings.
Why This Topic Matters
Facilities that work with pharmacies, consultant pharmacists, and other outside providers can face fraud-and-abuse exposure if their contracts, pricing, or referral relationships are not structured carefully. Understanding the general compliance themes in this article can help readers evaluate whether their arrangements warrant closer review.
Article Sections
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Background
Introduces the broader compliance context and explains why arrangements with pharmacy-related providers may draw scrutiny. It also references federal enforcement activity and related allegations involving nursing homes.
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Stay Problem-Free With These 4 Key Strategies
Presents the main compliance themes discussed in the article and frames them as practical areas of review for nursing facilities. The section organizes the article’s guidance into several broad risk-management topics.
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Specify the Duties of Consulting Pharmacists
Discusses how facilities may structure consultant pharmacist relationships and mentions related OIG guidance and professional association commentary. The focus is on contract structure and regulatory oversight in long-term care settings.
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Strive for Fair Market Value (FMV)
Addresses pricing and valuation considerations in provider relationships. It emphasizes the importance of payment analysis and documentation in ancillary service arrangements.
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Steer Clear of a "Swapping" Arrangement
Describes the article’s discussion of suspect financial relationships between facilities and providers. It covers the general compliance concern associated with bundled services, pricing, and referral-related arrangements.
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Pay Close Attention to FMV in Rental Agreements
Covers leasing and space-rental scenarios involving potential referral sources. The section focuses on valuation and relationship considerations for property arrangements.
What You Will Learn
- The general compliance risks nursing homes face when contracting with ancillary providers
- How consultant pharmacist arrangements are discussed in the context of regulatory guidance
- Why fair market value is a recurring issue in provider and rental relationships
- What kinds of provider relationships may attract fraud-and-abuse scrutiny
- How rental arrangements can become a compliance consideration when referral sources are involved
Who Should Read This
- Nursing facility administrators
- Compliance officers
- Long-term care billing and contracting staff
- Healthcare attorneys
- Consultant pharmacists
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